MEXICO CITY, Nov. 20 (Xinhua) -- Mexico's private banks will aim to lend to around 35 percent of those firms that are in an irregular situation with authorities, in a bid to boost the country's economy in the wake of the financial crisis, a leading banker said on Friday.
State-run regulator, the National Banking and Securities Commission (CNBV), "has allowed us to give financing based on credit scores, a risk calculation that is used when offering a credit card," Luis Robles, the president of the Mexican Banking Association (ABM), told media on the sidelines of the Mexican Financial Executives Institute's national convention.
He said that many Mexican firms find themselves in irregular situations even when they are actively trying to obey the law, and that ABM members do not intend to target fraud makers or tax dodgers.
Mexico's economy was 10.3 percent smaller at the end of the second quarter compared with the same period a year earlier, the sharpest decline since the 1930s. An evaporation of credit, triggered by a worldwide crunch, played as significant a role in this decline as the sudden plunge of demand for Mexican exports in Mexico's northern neighbor, the United States.